Traders are positioning for a breakout in graphics-chip maker Nvidia.
optionMONSTER’s Heat Seeker monitoring program detected the purchase of 5,300 December 17 calls for $0.17 and the sale of an equal number of December 18 calls for $0.04. Volume was more than twice open interest at both strikes, indicating that new money was put to work on the long side.
Known as a bullish call spread, the trade cost $0.13 to open and will earn profit of 669 percent on a move to $18.
— Option Monster